Gold: Strong resistance at 1727

A brief analysis of the fundamentals:

On Friday (September 9), as the stock market rose and risk aversion cooled, the U.S. dollar index accelerated its decline from its high since 2002, falling to its lowest level in more than a week, the first weekly cumulative decline in a month. Due to the fall of the dollar, spot gold rebounded and approached the 1730 mark, then fell back to the 1710 line, and finally closed up 0.51%. At present, the probability of the Fed raising interest rates by 75 basis points in September has reached 90%. Under the high pressure of the expectation of raising interest rates, the price of gold should not be too optimistic this week.

Spot gold XAUUSD 4-hour chart

A brief technical analysis:

From the 4-hour chart, the price of gold rebounded around 1727 and then was blocked and fell again. It is currently in an ascending triangle pattern. MACD begins to increase volume above the zero axis, indicating that the trend has further strengthening momentum. new rally

Long and short turning point: 1727.00

Resistance: 1727.00 1740.00

Support level: 1706.00 1688.00

Trading Strategy: Bullish above 1727.00, target 1740.00 1755.00  

Alternative strategy: bearish below 1727.00, target 1706.00 1690.00